GEE, GEX, GEL Hit Floor as Ex-EVNNPT Chairman Prosecuted in 500kV Case

Overview

Shares of the GELEX ecosystem fell limit-down on 14 September after the Ministry of Public Security’s investigative agency (C01) prosecuted Dang Phan Tuong, former chairman of National Power Transmission Corporation (EVNNPT), in connection with the 500kV circuit-3 line case. Tuong currently sits on the board of Gelex Electric (HOSE: GEE) and two other subsidiaries, though he holds no position at parent GELEX Group. The prosecution also touches PC1 Group, one of 13 entities C01 has identified as violating regulations on the project.

Key Facts

• C01 prosecuted Dang Phan Tuong, former chairman of EVNNPT, in the 500kV circuit-3 line case.
• Tuong is a board member of Gelex Electric (GEE) and two other GELEX subsidiaries, but holds no role at parent GELEX Group.
• GEE closed at 57,700 VND, GEX at 22,300 VND and GEL at 25,600 VND on 14 September, all limit-down.
• PC1, also named among the 13 violating entities, closed at 20,250 VND.
• C01 has prosecuted 47 defendants and identified 13 companies with violations, including EVNNPT, PC1 and Dong Anh Steel Pole Manufacturing.
• Tuong was appointed to the EVNNPT chairmanship by EVN in 2011 and joined EEMC’s board in late 2024.
• GELEX said the case relates to Tuong’s personal history before he joined the group and does not affect its operations.

What Happened

In a filing sent to the State Securities Commission and the Ho Chi Minh Stock Exchange late on 14 September, GELEX Group confirmed that C01 had issued a prosecution decision against Dang Phan Tuong while investigating a criminal case at EVNNPT, PC1 Group and related companies. GELEX stated that Tuong holds no position at the parent company but serves as a board member of Gelex Electric and two other subsidiaries. The group said the matter concerns Tuong personally and dates to the period before he joined the GELEX system, and that production, business activities and commitments to banks, customers and partners remain stable.

Separately, Dong Anh Electrical Equipment Corporation (EEMC) disclosed an unusual-information notice confirming it had received C01’s notification that Tuong, an EEMC board member since late 2024, had been prosecuted. EEMC’s 2025 annual report describes Tuong as a non-executive director who also holds positions at other electrical-equipment companies. Tuong was appointed by EVN as chairman of EVNNPT’s member council in 2011 and held the role for several years. C01 has now prosecuted 47 defendants and identified 13 companies with alleged violations tied to the 500kV circuit-3 line project.

Market Context

The sell-off came on a broadly weaker session, with the VN-Index down nearly 7 points as selling pressure built in large-cap groups. GEE, GEX and GEL all closed at their floor prices on HOSE, reflecting how quickly governance and legal headlines can move Vietnam’s smaller-cap industrial names. PC1, which C01 explicitly names among the 13 violating entities, also trades on HOSE and closed at 20,250 VND. The reaction illustrates the ecosystem-wide beta that GELEX subsidiaries share: a legal action against one individual can reprice three listed vehicles simultaneously, even absent any allegation against the issuers themselves.

Strategic Significance

For long-term holders, the core question is whether this is a personal-liability case or the opening of a broader probe into the electrical-equipment and transmission supply chain. GELEX’s disclosure draws a clear line: Tuong’s alleged conduct predates his GELEX tenure, and the parent has no operational exposure. That defense holds only if C01 does not extend its investigation to current contracts or subsidiaries. The 500kV circuit-3 line is a flagship national infrastructure project, and the 13 named companies span transmission, construction and steel-pole manufacturing, so any widening of the case would carry sector-level implications beyond GELEX. Investors should weigh governance risk at GEE, where Tuong still sits on the board, against the group’s insistence that day-to-day operations are unaffected.

What to Watch

• Any C01 update expanding the list of prosecuted individuals or named companies beyond the current 47 defendants and 13 entities.
• GEE board composition filings if Tuong resigns or is replaced at Gelex Electric or its subsidiaries.
• PC1 disclosures on project contracts tied to the 500kV circuit-3 line and any contract suspensions.
• Q3 2026 earnings from GEE, GEX and GEL for evidence of operational or financing disruption.
• Further exchange filings from GELEX Group clarifying the scope of the investigation.